[Congressional Record Volume 149, Number 84 (Tuesday, June 10, 2003)]
[Senate]
[Pages S7635-S7636]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mrs. CLINTON (for herself and Mr. DeWine):
  S. 1228: A bill to amend the Internal Revenue Code of 1986 to provide 
a tax credit for property owners who remove lead-based paint hazards; 
to the Committee on Finance.
  Mrs. CLINTON. Mr. President, I rise today to discuss a persistent, 
serious, and entirely preventable threat to our children's 
intelligence, behavior, and learning.
  Lead poisoning affects 300,000 children in our Nation between the 
ages of one and five, and has been linked with developmental 
disabilities, behavioral problems, and anemia. One recent study from 
the New England Journal of Medicine also found that children suffered 
up to a 7.4 percent decrease in IQ at lead levels that CDC considers 
safe. At very high levels, lead poisoning can cause seizures, coma, and 
even death.
  In New York State in 1999, over twelve thousand children suffered 
from lead poisoning, 9,533 of those children in New York City alone. In 
fact, we may even be underestimating the significance of this important 
public health problem.
  I am glad that the Secretary of Health and Human Services considers 
lead poisoning to be a priority, and established a national goal of 
ending childhood lead poisoning by 2010. However, federal programs only 
have resources to remove lead-based paint hazards from less than 0.1 
percent of the twenty-five million housing units that have these 
hazards. At this pace, we will not be able to end childhood lead 
poisoning by 3010, let alone 2010.
  We will never stop childhood lead poisoning unless we get lead out of 
the buildings in which children live, work, and play. In Brooklyn, more 
than a third of the buildings in one community have a lead-based paint 
hazard. Parents of children with lead poisoning are being told that 
nothing can be done until their children's lead poisoning becomes 
worse. How can we ask children to watch and wait while their sons and 
daughters suffer from lead poisoning before we remove the lead from 
their homes?
  That is why today, I am proud to introduce the Home Lead Safety Tax 
Credit Act of 2003 with my colleague, Senator Mike DeWine. This 
legislation would provide a tax credit to aide and encourage homeowners 
in removing lead-based paint hazards in their homes. Specifically, it 
would provide a tax credit for owners of residential properties built 
before 1978 that pay for abatement performed by a certified lead 
abatement contractor. Owners would receive a maximum tax credit of 50 
percent of the cost of the abatement, not to exceed $1,500 per dwelling 
unit. In Massachusetts, a similar tax credit helped reduce the number 
of new cases of childhood lead poisoning by almost two-thirds in a 
decade.

  The Home Lead Safety Tax Credit Act of 2003 would help homeowners 
make approximately 85,000 homes each year safe from lead, which is more 
than ten times the number of homes made lead safe by current Federal 
programs. It would greatly accelerate our progress in ridding our 
nation of the significant problem of childhood lead poisoning. I ask my 
colleagues to join me in supporting this legislation, which will help 
us achieve our common goal of protecting children from threats in our 
environment.
  I ask unanimous consent that the text of the bill be printed in the 
Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                S. 1228

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE; FINDINGS; PURPOSE.

       (a) Short Title.--This Act may be cited as the ``Home Lead 
     Safety Tax Credit Act of 2003''.
       (b) Findings.--Congress finds that:
       (1) Of the 98,000,000 housing units in the United States, 
     38,000,000 have lead-based paint.
       (2) Of the 38,000,000 housing units with lead-based paint, 
     25,000,000 pose a hazard, as defined by Environmental 
     Protection Agency and Department of Housing and Urban 
     Development standards, due to conditions such as peeling 
     paint and settled dust on floors and windowsills that contain 
     lead at levels above Federal safety standards.
       (3) Though the number of children in the United States ages 
     1 through 5 with blood levels higher than the Centers for 
     Disease Control action level of 10 micrograms per deciliter 
     has declined to 300,000, lead poisoning remains a serious, 
     entirely preventable threat to a child's intelligence, 
     behavior, and learning.
       (4) The Secretary of Health and Human Services has 
     established a national goal of ending childhood lead 
     poisoning by 2010.
       (5) Current Federal lead abatement programs, such as the 
     Lead Hazard Control Grant Program of the Department of 
     Housing and Urban Development, only have resources sufficient 
     to make approximately 7,000 homes lead-safe each year. In 
     many cases, when State and local public health departments 
     identify a lead-poisoned child, resources are insufficient to 
     reduce or eliminate the hazards.
       (6) Approximately 15 percent of children are lead-poisoned 
     by home renovation projects performed by remodelers who fail 
     to follow basic safeguards to control lead dust.
       (7) Old windows typically pose significant risks because 
     wood trim is more likely to be painted with lead-based paint, 
     moisture causes paint to deteriorate, and friction generates 
     lead dust. The replacement of old windows that contain lead 
     based paint significantly reduces lead poisoning hazards in 
     addition to producing significant energy savings.
       (c) Purpose.--The purpose of this section is to encourage 
     the safe removal of lead hazards from homes and thereby 
     decrease the number of children who suffer reduced 
     intelligence, learning difficulties, behavioral problems, and 
     other health consequences due to lead-poisoning.

     SEC. 2. LEAD ABATEMENT TAX CREDIT.

       (a) In General.--Subpart B of part IV of subchapter A of 
     chapter 1 (relating to foreign tax credit, etc.) is amended 
     by adding at the end the following new section:

     ``SEC. 30B. HOME LEAD ABATEMENT.

       ``(a) Allowance of Credit.--There shall be allowed as a 
     credit against the tax imposed by this chapter an amount 
     equal to 50 percent of the abatement cost paid or incurred by 
     the taxpayer during the taxable year for each eligible 
     dwelling unit of the taxpayer.
       ``(b) Limitation.--The amount of the credit allowed under 
     subsection (a) for any eligible dwelling unit shall not 
     exceed--
       ``(1) $1,500, over
       ``(2) the aggregate cost taken into account under 
     subsection (a) with respect to such unit for all preceding 
     taxable years.
       ``(c) Definitions and Special Rules.--For purposes of this 
     section:
       ``(1) Abatement cost.--
       ``(A) In general.--The term `abatement cost' means, with 
     respect to any eligible dwelling unit--
       ``(i) the cost for a certified risk assessor to conduct an 
     assessment to determine the presence of a lead-based paint 
     hazard,
       ``(ii) the cost for a certified lead abatement supervisor 
     to perform the removal of paint and dust, the permanent 
     enclosure or encapsulation of lead-based paint, the 
     replacement of painted surfaces or fixtures, or the removal 
     or permanent covering of soil when lead-based paint hazards 
     are present in such paint, dust, or soil,
       ``(iii) the cost for a certified lead abatement supervisor 
     to perform all preparation, cleanup, disposal, and 
     postabatement clearance testing activities associated with 
     the activities described in clause (ii), and
       ``(iv) costs incurred by or on behalf of any occupant of 
     such dwelling unit for any relocation which is necessary to 
     achieve occupant protection (as defined under section 1345 of 
     title 24, Code of Federal Regulations).
       ``(B) Limitation.--The term `abatement cost' does not 
     include any cost to the extent such cost is funded by any 
     grant, contract, or otherwise by another person (or any 
     governmental agency).
       ``(2) Eligible dwelling unit.--
       ``(A) In general.--The term `eligible dwelling unit' means 
     any dwelling unit--
       ``(i) placed in service before 1978,
       ``(ii) located in the United States, and
       ``(iii) determined by a certified risk assessor to have a 
     lead-based paint hazard.
       ``(B) Dwelling unit.--The term `dwelling unit' has the 
     meaning given such term by section 280A(f)(1).
       ``(3) Lead-based paint hazard.--The term `lead-based paint 
     hazard' has the meaning given such term under part 745 of 
     title 40, Code of Federal Regulations.
       ``(4) Certified lead abatement supervisor.--The term 
     `certified lead abatement supervisor' means an individual 
     certified by the Environmental Protection Agency pursuant to 
     section 745.226 of title 40, Code of Federal Regulations, or 
     an appropriate State agency pursuant to section 745.325 of 
     title 40, Code of Federal Regulations.
       ``(5) Certified inspector.--The term `certified inspector' 
     means an inspector certified by the Environmental Protection 
     Agency pursuant to section 745.226 of title 40, Code of 
     Federal Regulations, or an appropriate State agency pursuant 
     to section 745.325 of title 40, Code of Federal Regulations.
       ``(6) Certified risk assessor.--The term `certified risk 
     assessor' means a risk assessor

[[Page S7636]]

     certified by the Environmental Protection Agency pursuant to 
     section 745.226 of title 40, Code of Federal Regulations, or 
     an appropriate State agency pursuant to section 745.325 of 
     title 40, Code of Federal Regulations.
       ``(7) Documentation required for credit allowance.--No 
     credit shall be allowed under subsection (a) with respect to 
     any eligible dwelling unit unless--
       ``(A) after lead abatement is complete, a certified 
     inspector or certified risk assessor provides written 
     documentation to the taxpayer that includes--
       ``(i) a certification that the postabatement procedures (as 
     defined by section 745.227 of title 40, Code of Federal 
     Regulations) have been performed and that the unit does not 
     contain lead dust hazards (as defined by section 
     745.227(e)(8)(viii) of title 40, Code of Federal 
     Regulations), and
       ``(ii) documentation showing that the lead abatement meets 
     the requirements of this section, and
       ``(B) the taxpayer files with the appropriate State 
     agency--
       ``(i) the documentation described in subparagraph (A),
       ``(ii) a receipt from the certified risk assessor 
     documenting the costs of determining the presence of a lead-
     based paint hazard,
       ``(iii) a receipt from the certified lead abatement 
     supervisor documenting the abatement cost (other than the 
     costs described in paragraph (1)(A)(i)), and
       ``(iv) a statement indicating the age of the dwelling unit.
       ``(8) Basis reduction.--The basis of any property for which 
     a credit is allowable under subsection (a) shall be reduced 
     by the amount of such credit (determined without regard to 
     subsection (d)).
       ``(d) Limitation based on amount of tax.--The credit 
     allowed under subsection (a) for the taxable year shall not 
     exceed the excess of--
       ``(1) the sum of the regular tax liability (as defined in 
     section 26(b)) plus the tax imposed by section 55, over
       ``(2) the sum of the credits allowable under subpart A and 
     sections 27, 29, 30, and 30A for the taxable year.
       ``(e) Carryforward Allowed.--
       ``(1) In general.--If the credit amount allowable under 
     subsection (a) for a taxable year exceeds the amount of the 
     limitation under subsection (d) for such taxable year 
     (referred to as the `unused credit year' in this subsection), 
     such excess shall be allowed as a credit carryforward for 
     each of the 20 taxable years following the unused credit 
     year.
       ``(2) Rules.--Rules similar to the rules of section 39 
     shall apply with respect to the credit carryforward under 
     paragraph (1).''.
       (b) Conforming Amendments.--
       (1) Section 1016(a) is amended by striking ``and'' in 
     paragraph (27), by striking the period and inserting ``, 
     and'' in paragraph (28), and by inserting at the end the 
     following new paragraph:
       ``(29) in the case of an eligible dwelling unit with 
     respect to which a credit for lead abatement was allowed 
     under section 30B, to the extent provided in section 
     30B(c)(8).''.
       (2) The table of sections for subpart B of part IV of 
     subchapter A of chapter 1 is amended by inserting after the 
     item relating to section 30A the following new item:

``Sec. 30B. Home lead abatement.''.

       (c) Effective Date.--The amendments made by this section 
     shall apply to abatement costs incurred after December 31, 
     2003, in taxable years ending after that date.
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